Trian Partners Activist Presentation Deck
P&G Has Lowered the Bar for Performance Over Time
▪ Despite promises of transformational change, improved organizational design, and large
headline cost savings meant to fuel reinvestment and earnings growth, P&G has generally
lowered the bar for performance over the past decade
Organic Sales Growth Target
4-6% organic
2005 L-T
Target
Global market
growth PLUS
1 to 2%
2011 L-T
Target
Latest 3-year target of
2.8% organic growth was
set lower than expected
market growth of 3-4%
for P&G categories(1)
"Ahead" of
global market
growth
2014 L-T
Target
2% organic
2017
Guidance
Double-digit
EPS growth
2005 L-T
Target
EPS Growth Target
High-single-
digit to low-
double-digit
2011 L-T
Target
High-single-
digit
2014 L-T
Target
Mid-single-
digit
2017
Guidance
H
on that wall
"Why do you only expect 2% to 3% organic sales growth in fiscal '18? And does that really signal that
the ultimate payoff from all these areas is unlikely to move P&G above that 2% to 3% range longer
HENGENA
WENGIN
term? I guess, to put it simply. [is P&G] now a structurally lower top line growth company, more
POWE
in that 2% to 3% range?"
Morgan Stanley
- Dara Mohsenian, Morgan Stanley Analyst, 7/27/2017
Source: Company filings, presentations, and investor calls.
(1) Expected market growth for P&G categories per P&G management (3-3.5% as of November 2016 Analyst Day near the time targets were set) and recent Wall Street research (~4%).- 27 -View entire presentation